(The Center Square) – Wisconsin Gov. Tony Evers is claiming the new federal reconciliation bill will cost the state $142 million annually related to increased work requirements for health care and food assistance benefits along with limits to incorrect food assistance payments.
Evers announced the report on the costs of the bill on the same day Vice President J.D. Vance is visiting a steel fabrication plant in La Crosse, Wis.
The cost increases include an estimated $72.4 million for the state to offer employment and training services to Medicaid members so that those who have BadgerCare Plus who are ages 19 to 64 but do not have a child living with them under the age of 19 can meet the requirement of 80 hours per month of work, training or volunteering.
The report from Wisconsin’s Department of Health Services says that requirement will put 63,000 in the state at risk of losing health care coverage but does not explain why the state would have to provide employment or training services instead of the individuals finding work, training or volunteer hours to fulfill the requirement on their own.
“I’ve been clear from the get-go that Republicans’ so-called ‘big beautiful bill’ is bad for Wisconsin – for the 270,000 people kicked off their healthcare coverage, and the tens of thousands of kids, seniors, and families who won’t be able to afford basic food necessities,” Evers said in a statement. “And now, it’s also clear this bill is just as bad for Wisconsin taxpayers, who will be forced to help foot the bill for Republicans’ red-tape requirements just to make it harder for folks to get the care they need and food to eat.”
The bill will lead to a $3,183 tax cut for the average Wisconsin taxpayer starting in 2026, according to The Tax Foundation. That compares to an average 3,752 tax cut nationwide, according to the group.
Evers’ administration, meanwhile, claimed that it will cost $43.5 million annually for Wisconsin and its counties to administer the Supplemental Nutrition Assistance Program while costing an additional $11.4 million annually for additional staff to ensure that Wisconsin has an annual SNAP payment error rate below 6%. The state’s 2024 error rate was 4.47%.
States with payment error rates higher than 6% will be required to pay 5 to 15% of SNAP benefit costs for the state, which DHS estimated could cost as much as $205.5 million annually.
Similar to BadgerCare Plus, DHS said that it could cost the state $14.6 million each year to help adults up to age 64 without a child aged 14 or younger living in the home to complete mandated work requirements, which could impact up to half of the 43,700 Wisconsinites who fit the work requirement category.
“In terms of costs to Wisconsinites – this is just the tip of the iceberg,” DHS Secretary Kirsten Johnson said in a statement. “From increases in uncompensated care for hospitals to lost revenue for Wisconsin’s farmers, grocers, and local economies and thousands of Wisconsinites losing Medicaid and FoodShare, these cuts will cause a ripple effect throughout the state and put a financial strain on all of us.”
The bill also removes funding for food education programs through SNAP.
